EUR/USD news for September 13, 2026
Recent headlines highlight expectations for further interest rate hikes from both the Federal Reserve and the European Central Bank. Goldman Sachs expects a 25 basis point Fed hike following CPI data, while ECB President Lagarde stated that the euro-area inflation shock will last longer than expected, and high oil prices could force the ECB to raise rates further. The relative pace of monetary policy tightening between the two central banks remains a key factor for EUR/USD.
How the day unfolded
The European Central Bank raised rates hawkishly, but the euro remained flat above 1.1600 as traders focused on upcoming US CPI data. Higher-than-expected core US inflation has boosted expectations for Federal Reserve tightening, supporting the dollar. EUR/USD is expected to find direction after the US CPI release.
US core CPI came in higher than expected, reinforcing expectations that the Federal Reserve will raise interest rates for the first time in years, with market-implied odds near 90%. The ECB's hawkish stance did little to support the euro as markets focused on the Fed. These developments matter for EUR/USD because they shift relative monetary policy expectations between the two central banks.
Higher-than-expected core US inflation data has increased expectations that the Federal Reserve will tighten monetary policy, with rate hike odds rising near 90%. This has boosted the US Dollar and pressured EUR/USD, as markets focused on the Fed even after the ECB's hawkish stance. Market participants are now awaiting US CPI data for further direction.
Recent headlines are focused on U.S. inflation and Federal Reserve policy, with higher-than-expected core CPI cited as justifying tighter policy and rate-hike odds reported near 90%. That focus on the Fed has coincided with dollar gains and has outweighed the ECB's hawkish stance in EUR/USD trading. The instrument is therefore being driven mainly by shifting expectations around U.S. rates rather than by euro-area policy news.
Higher-than-expected US core CPI data increased expectations that the Federal Reserve will raise interest rates, contributing to dollar gains against the euro. The ECB's hawkish stance did little to support the euro as market attention remained focused on the Fed's policy path. EUR/USD direction is now seen as likely to be determined by US inflation data and Fed tightening expectations.
Higher-than-expected core CPI has given the Fed enough to tighten, and the Fed is poised to raise interest rates for the first time in years, with rate hike odds near 90% and a quarter-point hike leading September pricing. For EUR/USD, the focus is on the Fed's rate decision and global yields that have exploded higher, while markets rebounded after initial reactions were reversed and the weekly forecast debates whether to hike or not.
Recent headlines center on expectations that the Federal Reserve will raise interest rates, with higher-than-expected core CPI cited as giving the Fed enough to tighten and FOMC previews pointing to a 25 basis point hike. Rate-hike odds have been reported near 90%, while Polymarket pricing for a quarter-point September move sits at 62%, and market reactions have reversed after initial moves. For EUR/USD, the focus is on the Fed’s rate decision and shifting tightening expectations because they influence the US dollar side of the currency pair.
Headlines show the Federal Reserve is expected to raise interest rates, with market odds near 90% for a September hike, while ECB officials suggest rate increases may be needed to curb inflation from high oil prices. These monetary policy expectations for both central banks are the primary factors currently driving EUR/USD.
Recent headlines point to growing expectations that the Federal Reserve will raise interest rates in September, with Goldman Sachs backing a 25bp hike and JPMorgan also expecting a September move. At the same time, ECB policymakers have said the central bank may need to raise rates, with high oil prices cited as a factor. For EURUSD, these developments matter because the exchange rate is sensitive to relative interest-rate expectations between the Fed and the ECB.
Recent headlines highlight monetary policy expectations as a key driver for EUR/USD, with Goldman Sachs backing a 25 basis point Fed rate hike after CPI and ECB officials suggesting further rate increases may be needed to curb the economy and address high oil prices. Citi indicates the pair could retest the 1.17 level following the Fed decision, while the CFTC's latest report notes a broader positioning reset led by a yen reversal.
Headlines (27)
- Euro flatlines above 1.1600 despite ECB hawkish hike, traders brace for US CPI datawww.fxstreet.com · Sep 11, 00:43 UTC
- ECB Review: A “No-Brainer” Hike and More to Followwww.actionforex.com · Sep 11, 01:22 UTC
- Dollar Gains Ground as Fed Tightening Expectations Rise. Forecast as of 11.09.26www.litefinance.org · Sep 11, 06:24 UTC
- EUR/USD Price Forecast: Likely find direction after US CPI datawww.fxstreet.com · Sep 11, 08:00 UTC
- The ECB’s Hawkish Stance Did Little to Help the Euro, as Markets Focused on the Fedwww.actionforex.com · Sep 11, 08:19 UTC
- The FX Trader: Global yields explode higher, but JPY steady.www.home.saxo · Sep 11, 09:00 UTC
- Reaction: Markets rebound after the initial reactions are reversed. .investinglive.com · Sep 11, 13:05 UTC
- Sticky US inflation justifies a Fed rate hikethink.ing.com · Sep 11, 13:34 UTC
- THINK Ahead: We’re forecasting fewer rate hikes than markets. Could we be wrong?think.ing.com · Sep 11, 13:49 UTC
- Higher than expected core CPI gives Fed enough to tightenwww.ft.com · Sep 11, 14:44 UTC
- EUR/USD Weekly Forecast: To hike or not to hike? Kevin Warsh between a rock and a hard placewww.fxstreet.com · Sep 11, 14:59 UTC
- FOMC preview: Fed set to hike 25bp in recalibration movethink.ing.com · Sep 11, 15:19 UTC
- Fed Rate Hike Odds Near 90%. Where Did It Go Wrong For Trump’s Economy?beincrypto.com · Sep 11, 17:49 UTC
- JPMorgan now sees the Fed hiking in September and Decemberinvestinglive.com · Sep 11, 18:30 UTC
- Quarter-Point Hike Leads Polymarket’s September Fed Pricing at 62%cryptonews.com · Sep 11, 18:51 UTC
- Fed is moving closer to a september rate hikewww.marketpulse.com · Sep 11, 20:36 UTC
- ECB may need to raise rates to curb economy, Nagel sayswww.hellenicshippingnews.com · Sep 11, 21:00 UTC
- The Fed Is Poised to Raise Interest Rates for the First Time in Yearswww.wsj.com · Sep 11, 21:20 UTC
- High oil prices could force ECB to raise rates further, warns top policymakerwww.ft.com · Sep 12, 05:08 UTC
- CFTC Report: Yen reversal leads a broader positioning resetwww.fxstreet.com · Sep 12, 09:35 UTC
- Goldman Sachs Flips to a Rate Hike as Bitcoin’s Price Stalls Under $80,000news.bitcoin.com · Sep 12, 18:18 UTC
- Christine Lagarde: Interview with Ouest-Francewww.ecb.europa.eu · Sep 12, 20:03 UTC
- EUR/USD could retest 1.17 after Fed decision - Citi sayswww.investing.com · 04:26 UTC
- Will the Fed defy Trump and raise rates?www.ft.com · 11:42 UTC
- Goldman Sachs backs 25bp Fed hike after CPIcrypto.news · 15:53 UTC
- ECB chief Lagarde says euro-area inflation shock will last longer than expectedinvestinglive.com · 21:11 UTC
- THINK Ahead: We’re forecasting fewer rate hikes than markets. Could we be wrong?www.hellenicshippingnews.com · 22:11 UTC
Scheduled events
As of 23:56 UTC
- 2026-09-14 — French Final CPI m/m · EUR
- 2026-09-14 — ECB President Lagarde Speaks · EUR
- 2026-09-14 — German Buba Monthly Report · EUR
- 2026-09-14 — German WPI m/m · EUR
- 2026-09-15 — German WPI m/m · forecast 0.1% · EUR
- 2026-09-15 — French Final CPI m/m · forecast 0.7% · EUR
- 2026-09-15 — Italian Trade Balance · forecast 4.77B · EUR
- 2026-09-15 — German ZEW Economic Sentiment · forecast 42.7 · EUR
Not investment advice. For informational purposes only.